Skip to content





City working with e-hailing industry on lifting of moratorium on applications for metered-taxi operating licences<p>​</p><span><p>'Yesterday I received the memorandum of grievances and demands from the Western Cape E-hailing Association. I have informed the leadership that the City is making a huge effort to gather the data we need to determine the demand for and supply of e-hailing services in Cape Town. Once this data has been compiled and analysed, we will be able to determine how many operating licences are needed. </p><p>'Importantly, when we reach this point we will be able to lift the current moratorium on applications for new operating licences. The City is working hard to lift the moratorium well ahead of the original planned date of December 2023 and is aiming to conclude this process within the end of the first quarter of 2023 at the latest,' said the City's Mayoral Committee Member for Urban Mobility, Councillor Rob Quintas.<br></p> <figure class="subtopic-fullsize-img"> <img src="" class="responsive" alt="" style="width:1898px;" /> </figure>​​</span><p>The Western Cape E-Hailing Association is encouraged to participate in the survey that will be conducted for developing the metered-taxi service demand method. This survey will resume soon and more information will be made available in due course.</p><p>'I encourage commuters who make use of metered taxis and e-hailing services, the e-hailing operators as well as the e-hailing platforms, to work with the City to gather as much data as possible on how their services are used. I also request e-hailing platforms to make all existing data available to the City. The data we receive and gather will guide us in making an informed decision about the number of licences that can be supported, or whether the market is saturated. The more data we can get, the better. I would also like to assure the e-hailing services and operators that I am personally going to follow up on this on a weekly basis,' said Councillor Quintas.</p><p>The City has, some time ago already, established the metered-taxi Intermodal Planning Subcommittee through which metered-taxi related issues and concerns are addressed.</p><p>'E-hailing associations can also use this platform to raise concerns, and propose possible solutions while we are rushing to recommend the lifting of the moratorium ahead of time. By working together we can resolve challenges and create an operating model that is in the interest of commuters, operators, and those who have established e-hailing platforms in Cape Town,' said Councillor Quintas.</p><p><strong>Background to the moratorium</strong></p><p>The metered-taxi industry includes drivers operating from a rank, base or an e-hailing platform. </p><p>The industry has grown significantly since 2014 with thousands of operators or drivers joining e-hailing platforms as cellphone applications made it easier for them to respond to passenger demand and needs:</p><ul><li>Since 2015 the number of metered-taxi operating licences increased from a mere 685 to 4 300 operating licences by January 2021</li><li>In February 2021 when the moratorium was imposed, the metered-taxi industry was also concerned about an over-supply of metered-taxis in the city.</li></ul><p>The industry tabled a request for a moratorium on new applications for operating licences at the Western Cape Provincial Transport Lekgotla on 15 October 2020; and also did so at the National Taxi Lekgotla in Boksburg on 29 and 30 October 2020.</p><p>As such, the City, as the Planning Authority for transport in Cape Town, submitted a written request to the Western Cape Provincial Regulatory Entity (PRE) on 24 February 2021 to impose a moratorium on new applications for metered-taxi licences. </p><p>Importantly, the moratorium does not prevent new e-hailing platform providers to establish businesses in Cape Town. Metered-taxi drivers who are already in possession of operating licences can sign up or join any new e-hailing platforms, if they so wish.</p><p>Also, metered-taxi drivers who are in possession of valid operating licences are not affected by the moratorium. </p><p>The moratorium was imposed so that the City can:</p><ul><li>undertake an inventory of all metered-taxi operating licences in the system</li><li>develop a model to determine the demand for metered-taxi services which will govern support for new metered-taxi operating licences in future</li><li>review and update relevant by-laws, policies, statutory plans and strategies related to the metered-taxi industry; and</li><li>align by-laws, policies, and strategies with the proposed amended National Land Transport Act currently before Parliament</li><li>Establish a metered-taxi inter-modal planning sub-committee (IPC) as an umbrella body or forum for engagement with the industry – notably, the IPC has been established.</li></ul><p><strong>Caption:</strong> Councillor Rob Quintas, the City's Mayoral Committee Member for Urban Mobility, received the memorandum of grievances and demands from the Western Cape E-hailing Association on Thursday, 18 August 2022. </p><p> </p><p><strong>End</strong></p><p> </p><p><br></p>2022-08-18T22:00:00ZGP0|#1d539e44-7c8c-4646-887d-386dc1d95d70;L0|#01d539e44-7c8c-4646-887d-386dc1d95d70|City news;GTSet|#62efe227-07aa-45e7-944c-ceebacca891dGP0|#791ffb6f-7fbb-4889-a773-57685a6b940d;L0|#0791ffb6f-7fbb-4889-a773-57685a6b940d|Permits;GTSet|#2e3de6c1-9951-4747-8f53-470629a399bb;GP0|#53279926-c87d-4215-80d1-ae4e74608b75;L0|#053279926-c87d-4215-80d1-ae4e74608b75|memorandum of agreement10

You have disabled JavaScript on your browser.
Please enable it in order to use City online applications.